Exploration/Development news briefs, Nov. 1

Statoil � Amerada Hess � Fortum � Kestrel Energy � KCS Energy � Pallaum Minerals � Cactus Energy � Tanganyika Oil � Energy Africa Tanzania

Statoil said its first wildcat well in the 6710/10-1 block in production license 220 was a dry hole. The area is southwest of Røt in the Lofoten Islands. The well targeted Paleocene structures, and reached a total depth of 2,231 m in Late Cretaceous rocks. The company plans to continue to evaluate the area. Statoil has 40% of PL 220, with the state's direct financial interest holding 30%, Amerada Hess Corp., 15%, and Fortum Corp., 15%.

Kestrel Energy Inc., Denver, Colo., said the Turner 1-23 well in Grady County, Okla., has been completed as a gas producer and is flowing 1.1 MMcfd of gas. The well, Kestrel's eighth in the field, is in the Amber Northeast gas field. Production is coming from the Red Fork sands at 10,600 ft. Kestrel has a 32.7% working interest and a 23.2% net revenue interest in the well. Kestrel said the Turner 3-14, 1 mile to the north of the Turner 1-23, was completed with a flow rate of 1.1 MMcfd.

Houston-based KCS Energy Inc. said it drilled the Kathleen Jackson No. 1 well in the Austin field, Goliad County, Tex., to 11,600 ft. The well found 52 ft of net Wilcox pay in the second and third Nita sands, said KCS. The well was perforated in the third Nita sand and tested at 2.8 MMcfd of gas and 32 b/d of condensate. It was then perforated in the second Nita sand and is producing naturally at 5.9 MMcfd of gas and 29 b/d of condensate with flowing tubing pressure of 3,850 psi. KCS added that the Mayronne No. 2 well in Bayou DeFleur field, Jefferson Parish, La., found pay in three Miocene-aged Cristellria (Hollywood) sands. A lower lobe of this sand was perforated Oct. 23 and the zone tested at 2.8 MMcfd of gas and 10 b/d of condensate with flowing tubing pressure of 3,068 psi. KCS owns 40% working interest in the well.

Well participant Pallaum Minerals Ltd. said Salmon Drilling Co.'s Rig No. 1 has begun drilling the Wood Reef No. 1 well in Hood County, Tex. The well is centered on a 5,700-acre gas/oil prospect adjacent to the Lipann gas field, about 30 miles southwest of Fort Worth, Tex. Pallum said there are two under-utilized gas pipelines that cross the subject property. The area is operated by Dan Meeker Management Inc., dba Cactus Energy, and Pallaum has a 12.8205% leasehold interest, or a 10% net revenue interest, in the first well.

Tanganyika Oil Co. Ltd. said it has received approval to drill at least two test wells on the 1.25 million acre Mandawa concession in southern Tanzania. Tanganyika and its partner Energy Africa Tanzania Ltd. will spud the Mbate-1 well in mid-November and expect to drill to 8,000 ft. The companies then plan to spud the Mita Alpha-1 well. Energy Africa is farming in to the concession for a 25% holding; Tanganyika will retain 75%.

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